Table 8 Manager panel’s perceptions about the importance of value drivers (Arnold et al. 2002)
Value driver | Percentage of respondents mentioning it as important |
|---|---|
Market, including market size for the licensing agreement, market potential, or patient population | 88 % |
Stage-phase or stage in the development of the product | 69 % |
Strategy, including issues of “fit” of the product in the company’s pipeline and franchises, impact on the current business, and synergies | 44 % |
Competition-competitive markets, competition from other partners for the product, and competitive products | 38 % |
Reputation of the licensee or licensor, including inventor and management talent | 31 % |
Investment-financial needs to develop the product | 25 % |
Intellectual property-gaining key patents or trade secrets | 25 % |
Novelty-innovative merit of the product (revolutionary or evolutionary) | 19 % |
Control of the development and commercialization of a product | 6 % |
Comparable deal valuations for similar products/technologies | 6 % |
Reimbursement–ability or willingness of customers (payers or patients) to pay for the product | 6 % |